Oil major Vitol invests €200 million in new RE fund with Low Carbon

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Following in the footsteps of many an oil major in recent times, Vitol has announced, together with privately-owned investment company, Low Carbon, that it will invest in European renewable energy projects.

Via the Jersey-based VLC Renewables, the two will invest primarily in wind projects. A spokesperson for Vitol added that the focus will be on large off-shore wind, while solar is not yet a priority. The reason for this is scale, they said.

However, with a nod to solar, perhaps indicating that it could play a role in the future, Simon Hale, Investments at Vitol commented, “By 2025 almost 27% of European electricity will be generated from wind and solar. As a major participant in Europe’s power markets and as a significant investor in energy infrastructure worldwide, Vitol is keen to build a portfolio of renewable investments to complement its existing activities.”

Low Carbon is active in the solar industry, having funded over 320 MW of projects in the U.K. alone. Furthermore, in January, VLC Energy, a joint venture between Low Carbon and VPI Immingham, also part of Vitol, completed the commissioning of a 50 MW energy storage project in the U.K. together with NEC Energy Solutions.

Oil goes solar

A slew of announcements have been made recently by oil giants around the globe, as they rush to take advantage of the clear opportunities being brought to the table by renewables and, in particular, solar.

These include: